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Enlarge ImageRequest to buy this photoPetros Karadjias | Associated PressCypriot bank employees, who walked off the job for two hours, shout slogans during an anti-bailout protest outside Cyprus’ parliament in the capital, Nicosia. They marched toward parliament to protest upcoming job and benefit cuts.

NICOSIA, Cyprus — Public shock in Cyprus about the tough terms of an international bailout is
turning into anger as millions of euros remain locked in the country’s banks.

Cypriots were stunned by last month’s collapse of its second-biggest lender, Popular Bank, and a
decision to slap losses on large deposits at the Bank of Cyprus in return for financial aid from
the European Union and IMF.

They are now demanding answers after allegations this week that a company connected to the
family of President Nicos Anastasiades shifted money out of one of the distressed lenders just
before the banking system was locked down on March 15.

Anger and impatience are rising as the result of an official inquiry into what caused the
crisis, and exactly who knew what and when, is unlikely to be ready for weeks.

Banks reopened last week but Cypriots can withdraw only 300 euros, about $390, a day under a
range of controls imposed to prevent panicked residents from emptying their accounts or moving all
their savings abroad. Anxiety is being deepened by confusion over how the hastily imposed rules
should operate.

Hundreds of bank workers protested outside parliament yesterday, worried that they could lose
much of their pension savings under the terms of the bailout deal. They stipulate that some
depositors have to bear part of the rescue’s cost if their accounts hold more than 100,000
euros.

“I am disappointed and angry,” said Iacovos Louca, 53, who works at Popular Bank, which is being
wound down under the 10 billion-euro deal with the EU and International Monetary Fund. “The
politicians are out of touch with our problems and the big guys, who had the information, managed
to take their money abroad.”

A copy of a bank statement, first published in the Cypriot communist newspaper
Haravghi, which maintains it is genuine, shows a company whose owners are related to the
president by marriage moving money out of Popular Bank in early March.

The company says there was nothing untoward or nontransparent in the transaction, which was used
in a real-estate project abroad. It has said that many more millions of its funds remain locked in
the Cypriot banking system.

One company in Nicosia, which has several offices abroad, has been caught in limbo as the
central bank now has to approve transfers out of Cyprus of more than 25,000 euros. As part of the
company’s payroll is managed from the island, payments to employees abroad are being delayed
because of the vetting process and currency controls to avoid a bank run.

“We have held clients’ money for certain pre-paid jobs, and we have a cash-flow issue now,” the
owner of the services company said, on condition of anonymity. “We have to make payments of more
than 1 million euros on behalf of our clients, and now we can only use 100,000.”

Lack of clear answers on where the public’s money may end up is fueling frustration.